Question 3 1 pts Last year a form had a bond rating of B+. This year, the firm has documented low variability in earnings and has higher equity than debt. Due to this, the probability of getting bond rating of C++ is higher for this year. True False Question 6 1 pts The stock of Zephyr Inc. is trading with an expected rate of return 8.94% and has a standard deviation of 4,5%. Based on the risk return profile of Carter Inc., a risk-averse (or risk-reluctant) investor will invest in Carter Inc's stock instead of Zephyr Inc. True False Question 10 1 pts Through effective diversification, we can lower risk without sacrificing expected returns. The U.S. has tax rate changes that increase stock market risk. An investor want to decrease such kind of market risk by investing in a portfolio of different stocks. Will this diversification strategy reduce the market risk in the investor's investment? True False